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T.Sivasankaran Advesh consultancy services Chennai india [email_address] Mobile +91 9790971951 COMPETENCY MODELLING

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“ Knowing is not enough; we must apply. Willing is not enough we must do.” - Goethe

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Brief History: A Precursor of Competency Modeling <ul><li>1950’s: John Flanagan </li></ul><ul><li>1954 established Critical Incidents Technique as a precursor to the key methodology used in rigorous competency studies </li></ul><ul><li>significant behavioral events that distinguish between average and superior performers. </li></ul><ul><li>It is Flanagan’s critical incidents technique that sixteen years later inspires David McClelland to discover and develop the term of “competency” </li></ul>

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Brief History: The Concept of Competency <ul><li>1970’s: “Testing for Competence Rather than Intelligence” (McClelland, 1973) </li></ul><ul><li>Competency: “an underlying characteristic of a person which enables them to deliver superior performance in a given job, role, or situation.” </li></ul><ul><li>Not biased </li></ul><ul><li>Can be learned and developed over time </li></ul><ul><li>Implication: If competencies are made visible and training is accessible, individuals can understand and develop the required level of performance </li></ul>

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Brief History: Competency Modeling Matures <ul><li>1980’s: </li></ul><ul><li>“ Certain characteristics or abilities of the person enable him or her to demonstrate the appropriate specific actions.” (Boyatzis, Richard E. The Competent Manager: A Model for Effective Performance. New York: Wiley, 1982, p. 12). </li></ul><ul><li>the first empirically-based and fully-researched book on competency model developments </li></ul><ul><li>specific behavior and clearly defined performance outcomes </li></ul><ul><li>like Flanagan, stressed importance of systematic analysis in </li></ul><ul><li>collecting and analyzing examples of the actual performance of individuals doing the work </li></ul><ul><li>behavioral event interview (BEI) </li></ul>

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34 years after the first competency model, more than half of the Fortune 500 companies are using competency modeling. TODAY!

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KNOWLEDGE TALENTED SKILL EXPERT ABLE CAPABLE INTELLIGENT

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COMPETENCY Vs. COMPETENCE <ul><li>Competency: A person- related concept that refers to the dimensions of behaviour lying behind competent performer. </li></ul><ul><li>Competence: A work- related concept that refers to areas of work at which the person is competent </li></ul><ul><li>Competencies: Often referred as the combination of the above two . </li></ul>

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CONCEPT OF COMPETENCY <ul><li>Skill: </li></ul><ul><ul><li>Ability accomplish </li></ul></ul><ul><li>Talent: </li></ul><ul><ul><li>Inherent ability </li></ul></ul><ul><li>Competency: </li></ul><ul><ul><li>Underline characteristics that give rise to skill accomplishment </li></ul></ul><ul><ul><li>Knowledge, skill and attitude </li></ul></ul>

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DEFINITION <ul><li>First popularized by Boyatzis (1982) with Research result on clusters of competencies: </li></ul><ul><li>“ A capacity </li></ul><ul><li>that exists in a person </li></ul><ul><li>that leads to behaviour </li></ul><ul><li>that meets the job demands </li></ul><ul><li>within parameters of organizational environment, </li></ul><ul><li>and that, in turn </li></ul><ul><li>brings about desired results ” </li></ul>

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<ul><li>Competencies are generic knowledge, motive, trait, social role or a skill of a person linked to superior performance on the job. </li></ul><ul><li>Hayes 1979 </li></ul><ul><li>Competencies are personal characteristics that contribute to effective managerial performance. </li></ul><ul><li>Albanese 1989 </li></ul>

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WHAT IS COMPETENCY? <ul><li>A competency is defined </li></ul><ul><li>as a behavior or set of behaviors </li></ul><ul><li>that describes </li></ul><ul><li>excellent performance </li></ul><ul><li>in a particular work context </li></ul>

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THE ICEBERG ONLY 10% OF ANY ICEBERG IS VISIBLE. THE REMAINING 90% IS BELOW SEA LEVEL.

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THE ICEBERG SEA LEVEL VISIBLE ABOVE SEA LEVEL INVISIBLE BELOW SEA LEVEL 90 % 10 %

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THE ICEBERG <ul><li>The Iceberg phenomena </li></ul><ul><li>Is </li></ul><ul><li>also applicable </li></ul><ul><li>on </li></ul><ul><li>human beings … </li></ul>

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THE ICEBERG SEA LEVEL KNOWLEDGE & SKILLS ATTITUDE UNKNOWN TO OTHERS KNOWN TO OTHERS

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THE ICEBERG SEA LEVEL BEHAVIOR VALUES – STANDARDS – JUDGMENTS ATTITUDE MOTIVES – ETHICS - BELIEFS

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<ul><li>A competency is </li></ul><ul><li>an underlying characteristic </li></ul><ul><li>of </li></ul><ul><li>a person </li></ul><ul><li>which enables him/her </li></ul><ul><li>to deliver </li></ul><ul><li>superior performance </li></ul><ul><li>in a given job, role or situation . </li></ul>

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They consist of clusters of knowledge, skills, and personal attributes that AFFECT an individual’s ability to PERFORM

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How do competencies differ from skills and knowledge? <ul><li>Competencies only include behaviors that demonstrate excellent performance. </li></ul><ul><li>Therefore, they do not include knowledge, but do include &quot;applied&quot; knowledge or the behavioral application of knowledge that produces success. </li></ul><ul><li>In addition, competencies do include skills, but only the manifestation of skills that produce success. </li></ul><ul><li>Finally, competencies are not work motives, but do include observable behaviors related to motives. </li></ul>

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Components of Competency <ul><li>Skill </li></ul><ul><li>capabilities acquired through practice. </li></ul><ul><li>Knowledge </li></ul><ul><li>understanding acquired through learning. </li></ul><ul><li>Personal attributes </li></ul><ul><li>inherent characteristics which are brought to the job </li></ul><ul><li>Behavior </li></ul><ul><li>The observable demonstration of some competency, </li></ul><ul><li>skill, knowledge and personal attributes attributed to </li></ul><ul><li>excellent performance </li></ul>

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ELECTRICIAN

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<ul><li>Does he use his knowledge ? </li></ul><ul><li>Does he use his skill? </li></ul><ul><li>Does he use his attitude/motive? </li></ul>

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JOB AND COMPETENCY <ul><li>COMPETENCY </li></ul><ul><li>JOB </li></ul><ul><li>Underlying characteristic of a person’s inputs. </li></ul><ul><li>Cluster of knowledge, attitude and skill. </li></ul><ul><li>Generic knowledge,motive,trait,role or a skill. </li></ul><ul><li>Personal charcteristics,set of skills,related knowledge and attributes. </li></ul><ul><li>Superior performance in a given job , role or situation. </li></ul><ul><li>Individual’s ability to perform </li></ul><ul><li>Linked to superior performance on the job </li></ul><ul><li>Contribute to effective managerial performance </li></ul><ul><li>Succeddfully perform a task or an activity within a specific function or job </li></ul>

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Competencies Distinguish Exemplary Performers from Average Performers

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IN A NUTSHELL… <ul><li>Remember at the right time </li></ul><ul><li>Decide at the right moment </li></ul><ul><li>Act at the right moment </li></ul><ul><li>Complete </li></ul>

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TYPES OF COMPETENCIES <ul><li>Generic or specific: </li></ul><ul><li>Threshold or performance: </li></ul><ul><ul><li>Basic competencies required to do the job, which do not differentiate between high and low performers </li></ul></ul><ul><ul><li>Performance competencies are those that differentiate between high and low performers </li></ul></ul><ul><li>Differentiating Competencies: </li></ul><ul><ul><li>Behavioral characteristics that high performers display </li></ul></ul>

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COMPERTENCIES DEALING WITH PEOPLE <ul><li>LEADING OTHERS </li></ul><ul><li>INFLUENCING AND COMMUNICATING </li></ul><ul><li>Establishing focus </li></ul><ul><li>Providing motivation </li></ul><ul><li>Fostering Teamwork </li></ul><ul><li>Empowering others </li></ul><ul><li>Manage change </li></ul><ul><li>Develop others </li></ul><ul><li>Managing performance </li></ul><ul><li>Fostering Diversity </li></ul><ul><li>Attention to communication </li></ul><ul><li>Oral communication </li></ul><ul><li>Written communication </li></ul><ul><li>Persuasive communication </li></ul><ul><li>Interpersonal awareness </li></ul><ul><li>Influencing others </li></ul><ul><li>Building collaborative relationship </li></ul>

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COMPETENCIES DEALING WITH BUSINESS <ul><li>PREVENTING AND SOLVING PROBLEM </li></ul><ul><li>ACHIEVING RESULTS </li></ul><ul><li>Diagnostic information gathering </li></ul><ul><li>Analytical thinking </li></ul><ul><li>Forward thinking </li></ul><ul><li>Coceptual thinking </li></ul><ul><li>Strategic thinking </li></ul><ul><li>Technical expertise </li></ul><ul><li>Initiative </li></ul><ul><li>Enterpreneurial orientation </li></ul><ul><li>Fostering innovation </li></ul><ul><li>Result orientation </li></ul><ul><li>Thoroughness </li></ul><ul><li>Decisiveness </li></ul><ul><li>Business acumen </li></ul><ul><li>Global prospective </li></ul>

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COMPETENCIES DEALING WITH SELF MANAGEMENT <ul><li>Self confidence </li></ul><ul><li>Stress Management </li></ul><ul><li>Personal Credibility </li></ul><ul><li>Flexibility </li></ul>

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What is a competency model? <ul><li>A competency model is a set of success factors, often called competencies that include the key behaviors required for excellent performance in a particular role. Excellent performers on-the-job demonstrate these behaviors much more consistently than average or poor performers. These characteristics generally follow the 80-20 rule in that they include the key behaviors that primarily drive excellent performance. They are generally presented with a definition and key behavioral indicators. In contrast, competencies do not include &quot;baseline&quot; skills and knowledge (i.e., commonly expected performance characteristics such as finishing assigned work, answering the telephone, writing follow-up letters, etc.), job tasks, or unusual or idiosyncratic behaviors that may contribute to a single individual's success. </li></ul>

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Competency Model Framework

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Competency mapping is a process of identifying key competencies for a particular position in an organisation, and then using it for job-evaluation, recruitment, training and development, performance management, succession planning, etc. COMPETENCY MAPPING

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What is a global competency dictionary? <ul><li>A Competency Dictionary comprises of key Competencies, Competency definitions, Competency types, Competency levels and appropriate supporting behavioral indicators. </li></ul>

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ESTABLISHING FOCUS <ul><li>The ability to develop and communicate goals in support of the business’ mission. </li></ul><ul><li>a) Acts to align own unit’s goals with the strategic direction of the business </li></ul><ul><li>b) Ensures that people in the unit understand how their work relates to the business’s mission </li></ul><ul><li>c) Ensures that everyone understands and identifies with the unit’s mission </li></ul><ul><li>d) Ensures that the unit develops goals and a plan to help fulfill the business’s mission </li></ul>

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PROVIDING MOTIVATIONAL SUPPORT <ul><li>Skill at enhancing others’ commitment to their work. </li></ul><ul><li>a) Recognizes and rewards people for their achievements </li></ul><ul><li>b) Acknowledges and thanks people for their contributions </li></ul><ul><li>c) Expresses pride in the group and encourages people to feel good about their accomplishments </li></ul><ul><li>d) Finds creative ways to make people’s work rewarding </li></ul><ul><li>e) Signals own commitment to a process by being personally present and involved at key events </li></ul><ul><li>f) Identifies and promptly tackles morale problems </li></ul><ul><li>g) Gives talks or presentations that energize groups </li></ul>

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ORAL COMMUNICATION <ul><li>Expressing oneself clearly in conversations and interactions with others. </li></ul><ul><li>Speaks clearly and can be easily understood </li></ul><ul><li>Tailors the content of speech to the level and experience of the audience </li></ul><ul><li>Uses appropriate grammar and choice of words in 0ral speech </li></ul><ul><li>Organizes ideas clearly in oral speech </li></ul><ul><li>Expresses ideas concisely in oral speech </li></ul><ul><li>Maintains eye contact when speaking with others </li></ul><ul><li>Summarizes or paraphrases his/her understanding of what others have said to verify understanding and prevent miscommunication </li></ul>

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WRITTEN COMMUNICATION <ul><li>Expressing oneself clearly in business writing. </li></ul><ul><li>Expresses ideas clearly and concisely in writing </li></ul><ul><li>Organizes written ideas clearly and signals the organization to the reader (e.g., through an </li></ul><ul><li>introductory paragraph or through use of headings </li></ul><ul><li>Tailors written communications to effectively each an audience </li></ul><ul><li>Uses graphics and other aids to clarify complexor technical information </li></ul><ul><li>Spells correctly </li></ul><ul><li>Writes using concrete, specific language </li></ul><ul><li>Uses punctuation correctly </li></ul><ul><li>Writes grammatically </li></ul><ul><li>Uses an appropriate business writing style </li></ul>

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LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 LEVEL 5 LISTENS CAREFULLY AND PRESENTS INFORMATION FOSTERS TWO WAY COMMUNICATION ADAPTS COMMUNICATION TO OTHERS COMMUNICATES COMPLEX MESSAGES COMMUNICATES STRATEGICALLY LISTEN ACTIVELY WITHOUT INTRUPTING ELICIT COMMENTS/FEEDBACK ON WHAT HAS BEEN SAID ADAPTS CONTENT AND TONE TO SUIT THE TARGET AUDIENCE HANDLES ON THE SPOT COMPLEX QUESTIONS COMMUNICATES STRATEGICALLY CHECKS OWN UNDERSTNDING OF OTHERS OPENLY DISCUSS DIFFERENT PERSPECTIVES ANTICIPATE REACTIONS DELIVERS DIFFICULT MESSAGES WITH CLARITY, TACT AND DIPLOMACY IDENTIFIES AND IMPLEMENT POLICIES

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LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 LEVEL 5 PLANS TASKS AND ORGANISES OWN WORK APPLIES PLANNING PRICIPLES TP ACHIEVE WORK GOALS DEVELOPS PLAN FOR THE BUSINESS UNIT INTEGRATE AND EVALUATE PLANS TO ACHIEVE BUSINESS GOALS PLANS AND ORGANISES AT A STRATEGIC LEVEL IDENTIFIES REQUIREMENTS AND USES AVAILABLE RESOURCES ORGANISES WORK ACCORDING TO PROJECT AND TIME MANAGEMENT PRICIPLES CONSIDERS A RANGE OF FACTORS IN PLANNING PROCESS ESTABLISHES ALTERNATIVE COURSES OF ACTION EN SURES RESOURCES ARE AVAILABLE TO ACHIEVE SET OBJECTIVES COMPLETES TASK IN ACCORDANCE WITH PLANS PRACTICES AND PLANS FOR CONTINGENTS IDENTIFIES ACTIVITIES THAT WILL RESULT IN OVERALL IMPROVEMENT. ENSURES THAT SYSTEMS ARE IN PLACE SETS AND COMMUNICATES PRIORITIES WITHIN THE BROADER ORGANISATION

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Stages of Competency Catalogue Development

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ROLE COMPETENCIES <ul><li>A set of competencies required to perform a given role </li></ul><ul><li>Each competency has a skill set </li></ul>

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IDENTIFICATION OF ROLE COMPETENCIES <ul><li>Structure and list of roles </li></ul><ul><li>Definition of roles </li></ul><ul><li>Job description </li></ul><ul><li>Competency requirement </li></ul>

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DEFINITION OF ROLE: STEPS <ul><li>Identify KPAs of the role </li></ul><ul><li>Link the KPAs with Dept. and Organizational goals </li></ul><ul><li>State the content of the above in one or two sentences </li></ul><ul><li>Position the role in perspective with that of others </li></ul>

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JOB DESCRIPTION: STEPS <ul><li>List down all the activities/tasks </li></ul><ul><ul><li>small and big </li></ul></ul><ul><ul><li>Routine and Creative </li></ul></ul><ul><li>Categorize activities under major heads </li></ul>

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COMPETECNY IDENTIFICATION: STEPS <ul><li>Identify against each activity the following: </li></ul><ul><ul><li>Role holder interview and listing </li></ul></ul><ul><ul><li>Day in the Life of Study </li></ul></ul><ul><ul><li>Internal/External customer interview and listing </li></ul></ul><ul><ul><li>Star performer interview and listing </li></ul></ul><ul><ul><li>Role holder critical incident analysis </li></ul></ul><ul><ul><li>Management Climate Study </li></ul></ul><ul><ul><li>Benchmarking </li></ul></ul><ul><li>Consolidate the above and make a checklist of competencies </li></ul><ul><li>Rank- order and finalize on 5/6 competencies critical to the role </li></ul>

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COMPETENCY IDENTIFICATION TOOLS <ul><li>Attitude – Management Climate & Attitudinal Study </li></ul><ul><ul><li>Set of Questions measuring 8 characteristics of Attitudinal Capability </li></ul></ul><ul><ul><li>Measures & identifies gaps </li></ul></ul><ul><ul><ul><li>Management Style </li></ul></ul></ul><ul><ul><ul><li>System Orientation </li></ul></ul></ul><ul><ul><ul><li>Organisation Culture/Decision Making </li></ul></ul></ul><ul><ul><ul><li>Quality </li></ul></ul></ul><ul><ul><ul><li>Customer Service </li></ul></ul></ul><ul><ul><ul><li>Change </li></ul></ul></ul><ul><ul><ul><li>Communication </li></ul></ul></ul><ul><ul><ul><li>Accountability </li></ul></ul></ul><ul><ul><li>Also looks at perceived performance & opportunities for improvement </li></ul></ul><ul><ul><li>Benchmarking against other capable organizations </li></ul></ul><ul><ul><li>Outcomes : Organizational, Team & Individual Gaps </li></ul></ul>

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COMPETENCY IDENTIFICATION TOOLS <ul><li>Behaviour & Skills- Day in the Life of Outlet Manager </li></ul><ul><ul><li>Snapshot of Productivity & Effectiveness of Key Managers </li></ul></ul><ul><ul><li>4 -8 Hours observation of critical skills, behaviour & attitude to succeed </li></ul></ul><ul><ul><li>Measurement of AS-IS, DESIRED & SHOULD-BE </li></ul></ul><ul><ul><li>Outcomes : Organizational, Team & Individual Gaps </li></ul></ul><ul><li>Behaviour & Skills- Top Performer Survey </li></ul><ul><ul><li>20 top performers of Café Coffee Day and let them calibrate and rank the necessary competencies for superior performance </li></ul></ul><ul><ul><li>Outcomes : Organizational, Team & Individual Requirements </li></ul></ul><ul><li>Values : Top management interviews </li></ul><ul><ul><li>Outcomes : Key Values to Uphold </li></ul></ul>

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COMPETENCY ASESSMENT <ul><li>Following methods are used: </li></ul><ul><ul><li>Assessment/Development Centre </li></ul></ul><ul><ul><li>360 Degree feedback </li></ul></ul><ul><ul><li>Role plays </li></ul></ul><ul><ul><li>Case study </li></ul></ul><ul><ul><li>Structured Experiences </li></ul></ul><ul><ul><li>Simulations </li></ul></ul><ul><ul><li>Business Games </li></ul></ul>

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COMPETENCY MAPPING <ul><li>Strategy structure congruence </li></ul><ul><li>Structure Role congruence </li></ul><ul><ul><li>Each role to be unique </li></ul></ul><ul><ul><li>Non-Repetitive </li></ul></ul><ul><ul><li>Value adding </li></ul></ul><ul><li>Vertical and horizontal role congruence </li></ul><ul><li>Ensure non repetitive tasks in two different roles </li></ul><ul><li>Ensure core competencies for each task </li></ul><ul><li>Link all the above and position to bring in competitive advantage </li></ul>

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COMPETENCIES APPLICATIONS <ul><li>Competency frameworks: Define the competency requirements that cover all the key jobs in an organization. This consists of generic competencies. </li></ul><ul><li>Competency maps: Describe the different aspects of competent behaviour in an occupation against competency dimensions such as strategic capability, resource management and quality. </li></ul><ul><li>Competency profiles: A set of competencies that are require to perform a specified role. </li></ul>

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Competency Flow Model COMPETENCY Competencies are to performance what DNA is to people

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Job Description vs. Competency Model <ul><li>Job description looks at what. </li></ul><ul><li>elements of the jobs and defines the job into sequences of tasks necessary to perform the job </li></ul><ul><li>Competency model focuses on how. </li></ul><ul><li>studies the people who do the job well (STARs), and defines the job in terms of the characteristics and behaviors of these people. </li></ul>

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SAMPLE CORE IDEOLOGIES OF SELECTED COMPANIES <ul><li>American Express Co.: customer service, reliability , </li></ul><ul><li>The Boeing Co.: pioneers; product safety andquality </li></ul><ul><li>Citicorp: autonomy , aggressiveness and self-confidence </li></ul><ul><li>General Electric Co.: technology ,balance among stakeholders, </li></ul>

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<ul><li>Procter & Gamble Co.: honesty and fairness, respect for individual </li></ul><ul><li>3M Corp.: innovation, initiative and personal growth, </li></ul><ul><li>Wal-Mart Stores Inc.: commitment, enthusiasm; </li></ul><ul><li>Walt Disney Co.: creativity, dreams, imagination </li></ul>

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WHY USE COMPETENCIES? <ul><li>When done correctly, implementing competencies within your organization gives you the means to: Translate the organization’s vision and goals into expected employee behavior </li></ul><ul><li>Implement more effective and legally defensible recruitment, selection and assessment methods </li></ul><ul><li>Reduce hiring costs and absenteeism / turnover rates </li></ul><ul><li>Identify areas for employee development that are directly linked to desired outcomes and organizational objectives </li></ul><ul><li>Target training dollars in areas that are will realize the most return on investment </li></ul><ul><li>Set more effective (and valid) criteria for developing and evaluating performance </li></ul><ul><li>Identify gap between present skill sets and future requirements </li></ul><ul><li>And if downsizing is required, ensure retention of the essential competencies for the success of the organization. </li></ul><ul><li>Furthermore, by communicating these competencies to employees, organizations empower employees to take charge of their careers, direct their own personal development, and continually self-evaluate and improve. </li></ul><ul><li>What are Roles? </li></ul>

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What are the benefits of implementing a competency-based approach to developing professionals? <ul><li>For the Associates, competency-based practices: Identify the success criteria (i.e., behavioral standards of performance excellence) required to be successful in their role. </li></ul><ul><li>Provide a more specific and objective assessment of their strengths and specify targeted areas for professional development. </li></ul><ul><li>Provide development tools and methods for enhancing their skills. </li></ul><ul><li>Provide the basis for a more objective dialogue with their manager or team about performance, development, and career related issues. </li></ul>

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For The Company, <ul><li>competency-based practices: Reinforce corporate strategy, culture, and vision. </li></ul><ul><li>Establish expectations for performance excellence, resulting in a systematic approach to professional development, improved job satisfaction, and better employee retention. </li></ul><ul><li>Increase the effectiveness of training and professional development programs by linking them to the success criteria (i.e., behavioral standards of excellence). </li></ul><ul><li>Provide data on development needs that emerge from group and/or organizational composites that are an outcome of multi-rater assessments. </li></ul><ul><li>Provide a common framework and language for discussing how to implement and communicate key strategies. </li></ul><ul><li>Provide a common understanding of the scope and requirements of a specific role </li></ul><ul><li>Provide common, organization-wide standards for career levels that enable employees to move across business boundaries. </li></ul>

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For Managers <ul><li>Identify performance criteria to improve the accuracy and ease of the hiring and selection process. </li></ul><ul><li>Provide more objective performance standards. </li></ul><ul><li>Clarify standards of excellence for easier communication of performance expectations to direct reports. </li></ul><ul><li>Provide a clear foundation for dialogue to occur between the manager and employee about performance, development, and career-related issues </li></ul>

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How will Career Development Framework benefit the company in terms of training? <ul><li>Training and development will be more focused, as it will address specific gaps in competencies. It will no longer be based on qualitative justifications. Though in the initial period, training expenditure may increase, depending on the number of competency gaps, in the long term, the return on training expenditure may is justifiable when competencies gaps are addressed and employees perform to expectations. </li></ul>

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How is competency linked to Training and Development? <ul><li>Reconciliation between the Required Competency Level and your Current Competency Level will determine whether there are gaps to be addressed. The gaps will allow the employees to focus on the training and development programs necessary. There is no longer a need for employees to wonder what training is necessary. </li></ul>

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How do I use the Competency Dictionary? <ul><li>The Competency Dictionary can be used for many Human Resource Management purposes, such as: A guide in creating job descriptions </li></ul><ul><li>A guide for hiring managers during behavior-based job interviews. </li></ul><ul><li>A self-assessment tool for employees and managers </li></ul><ul><li>A performance management guide for managers/supervisors </li></ul><ul><li>A training evaluation tool </li></ul>

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THANK YOU